Under what circumstances does Degree Wellness charge legal costs and attorney's fees?
Degree_Wellness Franchise · 2025 FDDAnswer from 2025 FDD Document
| Type of Fee (1) | Amount | Due Date | Remarks |
|---|---|---|---|
| Legal Costs and Attorney's Fees | All legal costs and attorneys' fees incurred by us | As incurred | Payable if we must enforce the Franchise Agreement, or defend our actions related to, or against your breach of, the Franchise Agreement. |
| Injunction or Order of Specific Performance | All amounts incurred by us in obtaining an injunction or specific performance, including without limitation attorneys' and expert witness fees, costs of investigation and proof of facts, court costs, other litigation expenses and travel and living expenses and any damages we incur as a result of your breach. | As incurred | Payable if we obtain an injunction or order of specific performance against you to (1) enforce the provisions of the Franchise Agreement relating to your use of the Marks and non-disclosure, non solicitation, non-disparagement, and non-competition obligations set forth in Section 9 of the Franchise Agreement; (2) prohibit any act or omission by you or your employees that constitutes a violation of any applicable law, ordinance, or regulation; constitutes a danger to the public; or may impair the goodwill associated with the Marks or Degree Wellness franchises; or (3) prevent any other irreparable harm to our interests. |
Source: Item 6 — Other Fees (FDD pages 14–21)
What This Means (2025 FDD)
According to Degree Wellness's 2025 Franchise Disclosure Document, a franchisee may be responsible for covering the franchisor's legal costs and attorney's fees under specific circumstances. Degree Wellness will charge all legal costs and attorney's fees incurred if they must enforce the Franchise Agreement or defend their actions related to a franchisee's breach of the Franchise Agreement. These costs are due as they are incurred.
Additionally, if Degree Wellness obtains an injunction or order of specific performance against a franchisee, the franchisee is responsible for all associated costs. These costs include, but are not limited to, attorneys' and expert witness fees, costs of investigation and proof of facts, court costs, other litigation expenses, travel and living expenses, and any damages incurred by Degree Wellness as a result of the franchisee's breach.
These injunctions or orders of specific performance may be related to enforcing provisions regarding the use of Degree Wellness's marks, non-disclosure, non-solicitation, non-disparagement, and non-competition obligations. They may also arise from actions or omissions by the franchisee or their employees that violate laws, ordinances, or regulations, pose a danger to the public, or impair the goodwill associated with the Degree Wellness brand. These fees are also due as they are incurred.